Invictus Developments has bought The Inchcolm by Ovolo Hotel, a five-star hotel in Brisbane. This is just the latest investment made by the Singapore-based company into the Australian hotel market, following the $52.5 million acquisition of a Sydney office building. The property is expected to be converted into a luxury hotel building. In 2022, the group heavily invested in Sydney and Brisbane as well. It has been reported that Invictus will ultimately invest up to AU$500 million in total.
Principal of Invictus Developments, Chayadi Karim, said the company is a very strong believer in the Australian hotel market.
"As international travel is returning to pre-COVID levels, Australia is seen as an exciting and vibrant destination in the Asia-Pacific region. The addition of the two properties, with more planned on the East Coast, adds to our current portfolio of hotels in Singapore and Japan", he said.
With revenue of hotel rooms in Brisbane alone rising almost 40 percent, Steve Carroll of CBRE Hotels said that the time to invest in the Brisban market, as well as the greater Queensland hotel market, is now.
"Hotels continue to be an asset class of choice given the sector's positive market fundamentals and attractive risk-adjusted returns. We are seeing a broad range of investors seeking growth via hotel assets, and with outbound tourism from China recovering, we forecast this growth to continue," said Carroll.
The four acquisitions by the Invictus group in 2022 and 2023 are only the first of four phases of the group's planned investment into the Australian Market.
